Indonesia lowers insurance asset growth outlook to 2–4 per cent
Insurance assets rose 2.56 per cent year on year through August 2026, while financial-market volatility prompted a reassessment of the annual outlook.
Indonesia’s Financial Services Authority (OJK) now expects insurance assets to grow by 2–4 per cent in 2026, down from its initial projection of 5–7 per cent. OJK executive Ogi Prastomiyono said on 5 November 2026 that the revision reflected developments in the industry and financial markets.
Asset growth reached 2.56 per cent year on year through August 2026. Ogi said premium income, claim payments and investment returns would help determine the year-end result, alongside domestic economic conditions influencing insurance demand. Asset valuation changes and accounting reclassifications could also affect the figures reported.
The forecast remains dependent on conditions before the year closes, he said. Ogi called on insurers to align products and distribution with public needs, strengthen service and protect policyholder confidence. He also stressed prudent investing, adequate liquidity and capital, and efforts to contain claims and operating expenses.
OJK chair Friderica Widyasari Dewi said geopolitical conflicts and global uncertainty were pushing up energy prices, inflation and expectations of high interest rates. The regulator also forecast pension programme growth of 4–6 per cent and guarantee programme asset growth of 28–30 per cent. She attributed the latter mainly to assets being reclassified from insurers to guarantee companies.
Financing industry receivables are projected to expand by around 2–4 per cent by year-end. Friderica said global economic pressures were affecting motor vehicle sales and investment financing, although she described Indonesia’s financial services sector as resilient.
